Risk analysis is a tool that can be used when determining an amount of risk associated with using or performing a particular process to quantify some end result. For example, a risk analysis algorithm can be used to quantify an amount of computational risk when using one type of computer processing architecture to perform a particular function as compared to a different type of computer processing architecture to perform the same function. Each computer processing architecture may have operational trade-offs such as processing efficiency versus processing power that may affect the risk analysis outcome.
Risk analysis can also be used to assess actions, behaviors, and adherence to both State and Federal laws employed by a collection agency to collect on debts for another party, such as a healthcare provider for example, to quantify potential financial and reputational risk for the healthcare provider. Unfortunately, healthcare providers have limited resources to screen or audit collection agencies for various compliance matters. Experts are typically employed to look into the compliance matters. There is a need in the healthcare industry to more professionally select, regulate, and manage quality vendors without having to hire an expert who may employ outdated and expensive risk assessment techniques. In many cases, the healthcare providers are unaware of risks involved with available debt collection vendors and how to tell if a particular vendor operates using the proper standards.